Location. The location of real estate is of primary importance in defining value. Parcels in adjacent neighborhoods may have a wide variance in value. Lots within the same development may vary in value. Corner lots, lots backing onto a commercial development, lots on a busy street, etc. may have less value than interior lots.

Topography. A rolling wooded parcel is ideal for residential construction. A steep parcel is generally undesirable and has less value.

Transportation and roads. Commuters want to be near interstate highways. City dwellers may prefer a location near public transportation. Travelers may want to be convenient to the airport. Proximity to transportation can have a positive on value.

Climate. Recently (the last 40 years or so), climate has had an influence on value. The relatively recent availability of air conditioning was the beginning of the population shift from the northern states to the southern states with a more inviting climate.